Choosing a Business Name to Register
Choosing a Business Name to Register
About Us
At Company123, Business Name Registrations are made simple and fast.
We are ASIC agents who lodge Business Name applications on clients’ behalf, where clients have the option to go for a 1 Year or a 3 Year Business Name Registration.
We also offer Business Name Renewal services.
To initiate your Business Name Registration process, please visit our online form.
PLEASE NOTE THAT WE ARE NOT ASIC NOR THE ATO; WE ARE SIMPLY AGENTS WHO REPRESENT OUR CLIENTS
WE CAN, HOWEVER, CONTACT THE ATO ON YOUR BEHALF.
Importance of Selecting a Good Business Name
Throughout our lives, we have encountered tons of Business Names. From the store where you grab your morning coffee to your local boutique, all of them operate under a Business Name. Some of them can be long, and you might find some challenging to pronounce, while there are those that are extremely simple. Perhaps you’re wondering: What makes a Business Name important? Why is it important to set up a “good” or fancy Business Name, if at the end of the day what matters are the products and services your business provides? Why are certain businesses performing better than others, despite selling similar or even identical products? Let’s dive deeper!
Think of a Business Name as a “brand” for your business. We all can agree that every single business owner shares one common objective: Generating as much profit as possible. The obvious approach is to draw customers to your products and/or services, but putting prices and quality aside, first impressions matter. Just like in relationship building, one of the very first things people will encounter when meeting you for the first time is your name (and in this context, your business name), and a catchy, memorable name often creates a positive, memorable impression towards your customers. This will be crucial in establishing long-term commitments with your customers, since it’s proven that those who manage to build a strong, lasting first impression tend to succeed in constructing healthy, long-term relationships.
Another key reason is to establish identity. Your coffee shop definitely won’t be the only one serving coffee in town. There are heaps of apparel stores competing against each other (think about Uniqlo, Lululemon, Boss, etc.). However, the apparel as an example, note how each of them has a different appeal, and as a result, “identity”, despite providing the same or similar services. Uniqlo is the go-to place for cheaper, more relaxed/casual outfits. Sports enthusiasts often visit Lululemon to grab their essentials, and Boss is definitely one of the brands you consider when thinking about fancier, more expensive clothing. Apart from helping customers understand what your business is about, it enables them to distinguish your business and its services from your competitors.
Finally, placing extra effort in your business name improves its searchability, and considering how tech-savvy and digitalized everything is these days, an easily searchable name will positively contribute to your business online visibility, which generally correlates with increase in sales. Let’s say you actually wish to register a Business Name. Would you (a) Keep the name as simple and short as possible, or (b) Use a long, complex name for it? If you go with (a), you have made the right decision, as we can confidently assert that web users won’t be bothered to enter a long, winded name on the search bar. Users want everything to be intuitive and simple, therefore (a) will be the ideal solution. This, however, doesn’t mean you aren’t allowed to use longer names; you definitely can, but try to keep things as short and simple as possible.
Tips for Choosing a Good Business Name
- Go for a name that can be easily pronounced and remembered.
- Keep your business name as short and as simple as possible.
- Make sure that the name you selected truly reflects what your business is about.
- A good starting point is to consider the products and/or services you provide, as they could be used in your Business Name.
- Use an “expandable” name, just in case you decide to broaden your horizon and start selling new items or provide new services in the future.
- Consider foreign words (e.g. French is one of the most popular choices).
- Never select a name that is too similar to your competitors’.
- Before proceeding to register your business name, ensure that the name is actually available. For more details, click here.
- Ensure that your business name observes the naming conventions set by ASIC.
- To avoid legal issues, conduct a trademark search to make sure the business name you’re interested in registering hasn’t been Trademarked.
- And most importantly, ensure that the business name you wish to register is what YOU really want.
Key Considerations Before Registering a Business Names
(1) Does the Suggested Business Name Accurately Represent Your Business’ Activities, Values and Offerings?
While picking a business name, there is a risk of falling into the trap of going for a fancy, attention-seeking name and completely forgetting about what your business’ value proposition. This is definitely something everyone wishes to avoid, as a business name that contradicts its activities will be less appealing, and could even lead to legal issues with ASIC.
Therefore, please ensure that your business name is truly reflective of your business’ operations.
(2) How Will the Business Name Help You Gain Competitive Advantages in The Market?
Ask yourself questions like how marketable your business name is, how your business name will be perceived by the public, who are your target audience(s), and what makes your business name different and more appealing to the public than your competitors’, and many more.
Doing so will actually help you gain deeper understanding on your business.
(3) How Can the Business Name Evolve in the Future?
As highlighted in the previous section, it is advisable to consider business names that are flexible and easily expandable to enable expansions.
This means that you should go for names that are future-proof yet able to cope with current trends, to ensure your business’ longevity.
(4) Consider Cultural Differences
Yes, we understand that we are only dealing with Australian businesses here, or you might have no intentions to “go international” at all.
However, since we are more than interconnected these days (thanks to digitalization), and considering how culturally diverse Australia is, it won’t do any harm to consider how cultural differences play a significant role in your business name selection process.
We are by no means asking you to consider every single culture group in Australia; however, please be extra careful with certain words, as these words might translate to something offensive or intimidating in other languages.
And Most Importantly…
RESEARCH, RESEARCH, RESEARCH!
As a Sole Trader, Do I Need a Business Name?
It’s all about personal preferences, but it will be wise to consider the pros and cons of doing so.
Using your name as your business name establishes authenticity. For instance, you’ve decided to name your florist “Flowers by Betty” or “Betty’s Florist”. This could show that you are running the florist with passion and dedication, your flowers are carefully crafted and taken care of, and so on. Obviously customers will want to purchase flowers from those kinds of florists, as they translate to quality flowers. Your florist will end up being “the” florist people will want to go to, instead of “a” florist people can easily spot on a regular basis.
Similarly, it will be easier for potential customers to distinguish your business from competitors. Using the previous florist example, imagine a scenario where your close friends or relatives find out that you run a florist. The news will spread via word of mouth, ideally with some recommendations, and assuming people are interested in visiting your store, it will be extremely easy for them to identify it as, you guessed it, your name is on your business!
On the other hand, you might consider confidentiality issues, or you might feel uncomfortable with having your name shown or advertised in public. Your name (without sounding too offensive) might not be unique (think of how many James or Emmas you’ve met in your life), and this defeats the purpose of using your name for differentiation. It might also affect your business’ change of ownerships, just in case it will actually happen in the future.
All in all, the decision is in your hands.
What is the Difference Between a Business and a Company?
What is a Business Name?
A Business Name is simply the name you registered in which your business will be primarily conducted. You are legally required to register a Business Name in Australia before setting up a business.
What is a Company Name?
A Company Name is the name of a separate legal entity registered with ASIC. It includes the legal terms or abbreviations such as ‘PTY’ and/or ‘LTD’ and the end of the name.
In most cases, a Company is the entity that governs a Business.
Can I Register a Business with the Same Name as My Company Name?
Yes you can.
ASIC considers a Company and a Business as two entirely separate entities. As a result, your proposed business name may be similar or identical to your existing company name.
However, please note that additional information will be required when filling out the application to register your business name to prove that you actually own the aforementioned company.
For more information, please click here.
Alternatively, feel free to contact us.
How many Business Names Can an ABN Have?
A single ABN can have more than one business names.
How Long Does It Take to Register My Business Name?
Once you’ve filled out and submitted the form, one of our Consultants will process your application. It will only take a few minutes for us to lodge your application to ASIC.
Meanwhile, it shouldn’t take too long for ASIC to process and register your business name. In most cases, it will only take them 24 business hours.
Is a Business Name the Same as Trading Name?
Yes it is. They are often used interchangeably, although a ‘Trading Name’ is often deemed as an outdated/old term.
Can I Have a Business Name in More Than One State or Territory?
If your business name is registered in more than one state or territory, all your business names will have transferred to ASIC’s national business names register. You may now have multiple identical business names registered to you.
Please visit ASIC for further details.
Does Registering a Business Name Protects My Business From Competition?
Unfortunately, registering a Business Name does not provide you with any exclusive trading, branding or ownership rights.
To make things simple, consider the following scenario: Say you’ve decided to register “Nike Armadale” as a Business Name. Your application will definitely go through, as ASIC will run a check on their database and notice that there isn’t any business called “Nike Armadale” registered in Australia. However, Nike will contact you in the coming days, telling you that they have the name “Nike” trademarked, and therefore you will need to register a new Business Name, otherwise legal action will be taken.
The rationale behind this is that Business Name Registrations and Trademarks are handled by two different entities in Australia: ASIC and IP Australia. As of now, there aren’t any mechanisms that enable us to cross-check between Business Name and Trademark Registrations. Therefore, it is advisable to run a trademark search to avoid any unwanted problems.
Please visit this link for further information.
Does Registering a Business Name Provide Me with Exclusive Right to Domain Name?
Similar to Trademarks, registering a Business Name does not come with any rights for domains.
Business Name Registration and Domain Registration are treated separately.
Should you wish to register a domain that is similar to your business name, we recommend doing so as soon as you have lodged your business name registration, as the domain name you are interested in registering might have been taken by others.
For domain registrations, please visit here.
NOTE: AFTER LODGING YOUR DOMAIN REGISTRATION, YOU MIGHT RECEIVE AN EMAIL STATING THAT YOUR DOMAIN REGISTRATION WAS REJECTED. PLEASE CONTACT US VIA EMAIL (SUPPORT@COMPANY123.COM.AU) OR CALL (03) 9832 0660 SO WE CAN RESOLVE THE ISSUE FOR YOU
Can I Change an Already-Registered Business Name?
Unfortunately you can’t. You will need to re-register a new Business Name.
Please make sure to double-check before registering to avoid any mistakes
Can I Reserve a Business Name?
Yes you can. Please visit ASIC for further details.
Once you’ve lodged the Business Name Reservation form, ASIC will reserve/park your name for 2 months, meaning that no one else will be able to register a Business with that name.
Can I Extend the Reservation?
Yes. However, you will need to lodge a separate form to request for extension.
What Do I Do if My Business Name Registration Has Been Rejected?
You can appeal to ASIC’s decision.
However, before appealing, please ensure that your application rejection meets the criteria outlined on the link provided.
Can I Register a Business Name That Includes the Name of a Location?
You could.
Although there aren’t any specific restrictions on registering a business name with the name of a location/state/territory, your application will be subject to revision from ASIC, and they will make a decision to reject or accept your application.
However, we wouldn’t recommend you do so, as most of the applications relevant to this context were rejected. We strongly suggest avoiding including location names in your business name if possible.
What Will Happen After My Business Name Registration?
After your business name has been registered, you will receive a copy of your record of registration via email, and you can start trading/conducting business under that name.
Most of the details of your business, such as date of registration, date of business name expiry, as well as the state and postcode of the location of your business will be available online via the ABN Lookup. But fret not, your personal details will not be posted.
Should you require detailed records for a specific business name holders, you can place an order here to obtain official ASIC documents.
Can I Renew an Expired Business Name?
Absolutely. Please complete the following form to initiate your renewal request.
However, do note that you can only renew a business name that hasn’t expired more than 6 months. If the business name has expired for more than 6 months, you will need to re-apply a new business name, as that name is no longer available for registration for anyone.
Is it a Good Idea to use Numbers in my Business Name?
It depends.
While using numbers in your business name is definitely not forbidden, it might not be a good idea to do so from a marketing perspective due to differentiation purposes. For instance, you can definitely find a handful of business names with the number 8, especially in the Asian community considering the number is deemed as a lucky number in Asian traditions. As a result, your business will not be considered “special” should you add the number 8 on it, although this also depends on the positioning of the number itself.
Meanwhile, some business decided to use numbers in their names due to strategic purposes. You’ve definitely heard of 3M. Did you know that they initially started as “Minnesota Mining and Manufacturing Company”? You probably know why they’ve decided to shorten/simplify their business name……because their original name might be too complicated to remember! Other notable business names with numerals are 7-Eleven, 3, Forever 21, and many more. Note how these companies are thriving in their respective industries.
Also note that your decision should be influenced by the area or industry your business is operating in. You’ve surely seen a lot of cafés or restaurants with numbers on their names, or in some cases, their name is made up of numbers only. For some reason, using numbers increases the appeal of a café/restaurant, and this has been the recipe for success for many of them.
Eventually, it all depends on YOUR business strategies. If it is strategically wise to use numbers in your business name, then go ahead. Otherwise, don’t.
Is it a Good Idea to Use Name Generators for My Business Name?
While it is tempting to do so, we actually wouldn’t recommend it.
Firstly, while it is remarkable that name generators run on smart algorithms with complex mechanisms, it should be remembered that they are simply machines. Unlike humans, they don’t have any emotions, and as a result, the names they generate tend to lack emotional appeal, which often results in marketing or competitive disadvantages.
Also it should be noted that YOU are the mastermind behind YOUR business, and you definitely want your business to suit your preferences, ideas, and style. Using a name generator to generate your business name is similar to asking someone without any knowledge on your tastes and/or preferences to cook for you; You might hit a jackpot if the food prepared suits your appetite, but what are the odds?
We do, however, recommend you using name generators for inspirations. This is because sometimes the algorithm is actually smart enough to generate ideas which might catch your interest.
Should My Business Name Consist of Acronyms?
You could.
Think about all the acronym business names you have encountered. How many of them are thriving? The answer should be a lot. This is because acronyms are extremely easy to remember and pronounce, and as previously discussed, these are the features you should be aiming when going for a business name.
However, one common pitfall is going for acronyms that actually don’t mean anything. This should be avoided at all cost, as people may consider you lazy and pays no attention to your business and its operations whatsoever, which often spells trouble in a marketing and branding perspective.
If you’ve decided to use acronyms for your business name, please ensure that it actually represents something; ideally what your business is about.
Alternatively, you can contact us, and our friendly consultant will assist you.